Ampol and ENEOS sign MoU for Brisbane SAF refinery

Australia’s Ampol and Japanese energy company ENEOS have signed a memorandum of understanding (MoU) to build a Sustainable Aviation Fuel (SAF) refinery in Brisbane, Australia.

Both firms will jointly explore the potential for building a facility capable of producing up to 500m litres of SAF annually and other advanced biofuels at the Lytton refinery in Brisbane. The two companies have also signed a sperate MoU with the Queensland Government as part of its Queensland Biofutures 10-Year Roadmap.

Matt Halliday, MD and CEO, Ampol said the firm is committed to supporting the development of a biofuels value chain in Australia. “Biofuels and synthetic fuels have an important role to play in energy transition, particularly in hard-to-abate areas such as aviation and heavy industrial sectors like mining,” said Halliday.

Saito Takeshi, representative director and president, ENEOS said establishing SAF supply chains are key to decarbonising the aviation industry. “Integrated supply chains – from feedstocks to manufacturing and distribution infrastructure – will be critical to the development of a successful and sustainable biofuels industry,” he said.

SAF is becoming a focal point for the Japanese aviation industry too. Its Ministry of Land, Infrastructure, Transport and Tourism has set a target of 10% SAF use to be achieved by 2030.

The initial SAF feedstock at the Lytton refinery is likely to be from local agricultural waste, animal by-products and other waste. The companies aim to use existing refinery manufacturing and distribution infrastructure to produce biofuels for domestic use for export where possible.  

Halliday highlighted that the refinery is poised for SAF production with its large “highly skilled workforce” and existing manufacturing infrastructure that can deliver other fuels. “Lytton is also located next to a key demand centre and the Brisbane River, presenting an opportunity to become an energy hub that can serve major parts of the Queensland economy,” he said.

Queensland deputy premier, Steven Miles said the project was another step towards Queensland becoming a clean energy powerhouse.

“As part of decarbonisation, the government is working to set Queensland up as the leading location for the production of green jet fuels,” said Miles. “We know the world is moving into a low emissions future and there has been a significant increase in demand for low carbon aviation fuel.”